GSDC

In May 2008, Greater Southwest hosted a Small Business Improvement Fund luncheon at the Balzekas Museum of Lithuanian Culture (6500 S. Pulaski) in West Lawn for local small business owners. The goal of the event was to introduce the Small Business Improvement Fund (SBIF), a program administered by non-profit SomerCor 504, Inc. Since then, a number of businesses have pursued the program.

The City of Chicago's Small Business Improvement Fund is a TIF-funded (Tax Increment Financing) program. TIFs allow the City to capture property tax revenue above the base tax rate that existed before the area was designated as a TIF district. SBIF uses TIF revenues or "increment" to help repair and remodel commercial and industrial properties within TIF districts. Our local TIF with an active SBIF program is the 63rd/Pulaski TIF, which runs west-east from Keating Ave to Central Park and north-south from 63rd Street to 70th Street. (Click here for a map of Chicago TIFs)

During the May event, John Paulson and Derek Walvoord from SomerCor gave the main presentation (pictured left) which explained the grant application process. SBIF grant applications are selected by lottery and processed by SomerCor. SBIF grants are then provided to the property owners (as reimbursement for up to 75% of the project cost or $150,000 maximum) after remodeling work is completed and all expenses are paid. From a total of 40 small businesses in attendance, 10 submitted applications to SomerCor after the presentation. Of the 10 applications, two grants have so far been awarded; the remaining applications are awaiting further action from either SomerCor or business owners. As of  December 8, 2008, about $100,000 of the funds were not allocated and are still available to those who qualify. Congratulations to a local realtor and a local hair salon owner whose businesses were approved and awarded a SBIF grant!

A wide array of businesses attended the meeting, including local restaurants, print shops, real estate agents, mortgage brokers, insurance agents, accountants, and hair salon owners. 13th Ward Alderman Frank Olivo attended the meeting and shared a few words in support of the small business owners in his ward.

If you would like to receive more information regarding the SBIF program and to see if your business is eligible, visit SomerCor's website at www.somercor.com or you may contact them at (312) 360-3300.